DIGITAL ALLY, INC. 8-K

What Happened

• The company filed an 8-K reporting a 1-for-3 reverse stock split and a corporate name change. The Board adopted a Certificate of Change and a Certificate of Amendment filed with the Nevada Secretary of State on January 6, 2026. The Reverse Stock Split became effective at 12:01 a.m. ET on January 8, 2026, and the Name Change (to Kustom Entertainment, Inc.) became effective at 12:03 a.m. ET on January 8, 2026. The common stock began trading on the Nasdaq Capital Market on a split-adjusted basis at the start of trading on January 8, 2026 under the new ticker symbol KUST.
• The filing also notes an amendment to the company’s bylaws to reflect the new corporate name; the Board approved this amendment and shareholder approval was not required. The company issued a press release on January 5, 2026 announcing the changes and included standard forward-looking statements and related risk cautions.

Key Details

• Reverse stock split ratio: 1-for-3 (every 3 shares → 1 share).
• Outstanding shares before split: 2,402,498; after split: 801,006. Fractional shares were rounded up to whole shares; no fractional shares were issued.
• Name change: Digital Ally, Inc. → Kustom Entertainment, Inc., effective Jan 8, 2026.
• Ticker change: from DGLY → KUST, effective at market open on Jan 8, 2026. New CUSIP for the common stock (post-split) is 25382T 507.

Why It Matters

• The reverse split reduces the number of shares outstanding and typically increases the per-share price mathematically, but it does not change shareholders’ proportional ownership or the company’s market capitalization by itself.
• The corporate name and ticker change signal a formal rebranding; the filing references a shift in focus toward live event production and an online ticketing platform. Investors do not need to take any action for the split or the name/ticker change.
• The filing includes forward-looking statements and cautions that future results are uncertain and subject to risks disclosed by the company.